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Gov’t collects more than 2.2 billion AFN from 10% telecom tax in past seven months

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Last Updated on: October 25, 2022

The government has logged more than 2.2 billion AFN in tax collection via the 10 percent telecom tax on mobile phone subscribers since the beginning of the current fiscal year. 

The Ministry of Communication and Information Technology (MCIT) said Saturday that through the Real-Time Data Management System – a system used for monitoring the collection of the 10 percent taxes from telecom services – it managed to collect the revenue.

“We managed to collect more than 2.2 billion AFN since the beginning of 2020 and handed it over to the government treasury,” said Abdul Samad Hamid Poya, a spokesman for the MCIT.

Experts, however, claimed the Ministry has yet to ensure transparency in the collection process of the 10 percent revenue tax from mobile phone users.

According to them, the ministry failed to provide details about the exact number of active SIM Cards. But Samad Hamid Poya blamed some telecom companies for not providing them information on the issue.

“We acknowledge that the Ministry of Communications has done some of its work, but if the 10 percent tax would be collected transparently the ministry could generate more revenue than what they have shared,” Salim Tufan an economist told Ariana News.

Last year the MCIT installed “Real-Time Data Management” for the collection of tax across the country. The system was aimed at collecting genuine information through connecting with the telecommunication network system to ensure and gain public confidence in the transparency of the collection process of 10 percent telecom tax and other telecommunication revenues.

Since then, the system remained one of the most controversial issues in the Ministry. Critics believe that the system cannot ensure transparency in the mobile tax collection.

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World Bank clarifies role in payments for Afghanistan projects

The World Bank said the payments concern outstanding debts owed by the former government of Afghanistan to contractors hired under World Bank-financed projects.

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The World Bank said on Monday that payments being made to contractors for projects in Afghanistan related to work done prior to the collapse of the former government and that this was money owed to them.

The World Bank said the payments concern outstanding debts owed by the former government of Afghanistan to contractors hired under World Bank-financed projects.

These contractors completed their work before August 15, 2021, the World Bank said.

The contracts were made between the Afghan government and the contractors, making the government responsible for these payments, not the World Bank.

The World Bank said however it is helping to facilitate the payment process on an exceptional basis after thorough validation and independent verification.

The Bank is not a party to the contracts.

The institution said recent statements about this process and technical coordination reflect progress but noted that no restart of previous projects has been discussed or agreed upon.

 

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India allows entry of 160 Afghan trucks via Pakistan border

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A day after a rare phone call between Acting Afghan Foreign Minister Amir Khan Muttaqi and his Indian counterpart Subrahmanyam Jaishankar, India has allowed 160 trucks carrying Afghan goods to enter through the Wagah border with Pakistan.

The trucks had been held up due to heightened military tensions between India and Pakistan following a deadly attack in Indian-administered Kashmir.

The conversation between Muttaqi and Jaishankar marks the highest-level political contact between New Delhi and the Islamic Emirate since its return to power in Kabul in 2021.

Although India has yet to formally recognize the Islamic Emirate as the official government of Afghanistan, it is reportedly exploring options to resume stalled development projects in Afghanistan and deepen cooperation in specific sectors.

According to The Times of India, Indian officials are also considering the possibility of extending humanitarian assistance to Afghan refugees recently deported from Pakistan.

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Kabul and Moscow ink five MoUs on trade, transit and energy

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The Economic Deputy Office of the Prime Minister said on Friday that Mullah Abdul Ghani Baradar and Russian Deputy Prime Minister Alexei Overchuk signed five memoranda of understanding in various sectors on the sidelines of the 16th Kazan International Economic Forum.

According to a statement from the PM’s office, these agreements were signed on Friday after the Afghanistan–Russia Business Forum held in Kazan, Republic of Tatarstan.

“The agreements cover cooperation between Afghanistan’s Ministry of Transport and Aviation and the Ministry of Transport of the Russian Federation in the areas of transport and transit; expansion of trade relations between the chambers of commerce of both countries; cooperation between several major private companies of the two countries in the exploration, extraction, and refining of oil and gas in Afghanistan; and the development of regional trade and the establishment of an industrial-logistical complex,” the statement read.

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